Taiwanese are more financially resilient today than they were two years ago, but the gap between those who can easily withstand unexpected events influencing their finances and those who cannot is growing, a survey commissioned by the Taiwan Academy of Banking and Finance found.
With economic effects of the COVID-19 pandemic easing, Taiwanese are about as financially resilient as Britons, Americans and people in other major economies in terms of keeping savings, meeting living expenses and having access to financial services, academy president Hank Huang (黃崇哲) said.
People’s ability to withstand unexpected financial risks was also slightly higher than in 2020, with 7 percent more people having at least six months of income in savings, he said.
Photo: CNA
However, the gap between high and low-income earners increased, Huang added.
The aggregate ratio between those with six months of income in savings and those with less was about 60 percent, with the resilience of middle-income earners especially hit by the pandemic, he said.
Overall, the number of people who reported being easily able to meet living expenses had more than doubled, from 12.2 percent to 27.3 percent, he said.
However, there were still almost 20 percent who said they would be unable to deal with a financial emergency, with only a small drop in this category from 19.5 percent in 2020 to 18.8 percent this year, Huang said.
Digital banking platforms have allowed uninterrupted access to financial services throughout the pandemic, with more people investing money, especially through fractional share trading, than two years ago, Huang said.
Overall borrowing capacity has improved, with 5 percent fewer people fearing they might be unable to borrow money in case of an emergency, and 40 percent of respondents saying they could obtain a mortgage or a loan from a financial institution, he said.
Low-income families were most severely affected by the pandemic, accounting for the majority of those reporting that they have trouble saving money or staying within their budget, Huang said, adding that this group was also the most vulnerable to financial fraud and exploitation due to weak financial literacy and insufficient financial confidence.
In terms of age, those aged 20 to 29 were the only group reporting a decline in financial resilience, he said.
“The decline in financial literacy, and poor savings and fundraising ability, in this age category demonstrates an urgent need for financial education for young people,” Huang said.
Three Taiwanese airlines have prohibited passengers from packing Bluetooth earbuds and their charger cases in checked luggage. EVA Air and Uni Air said that Bluetooth earbuds and charger cases are categorized as portable electronic devices, which should be switched off if they are placed in checked luggage based on international aviation safety regulations. They must not be in standby or sleep mode. However, as charging would continue when earbuds are placed in the charger cases, which would contravene international aviation regulations, their cases must be carried as hand luggage, they said. Tigerair Taiwan said that earbud charger cases are equipped
Foreign travelers entering Taiwan on a short layover via Taiwan Taoyuan International Airport are receiving NT$600 gift vouchers from yesterday, the Tourism Administration said, adding that it hopes the incentive would boost tourism consumption at the airport. The program, which allows travelers holding non-Taiwan passports who enter the country during a layover of up to 24 hours to claim a voucher, aims to promote attractions at the airport, the agency said in a statement on Friday. To participate, travelers must sign up on the campaign Web site, the agency said. They can then present their passport and boarding pass for their connecting international
Temperatures in northern Taiwan are forecast to reach as high as 30°C today, as an ongoing northeasterly seasonal wind system weakens, the Central Weather Administration (CWA) said. CWA forecaster Tseng Chao-cheng (曾昭誠) said yesterday that with the seasonal wind system weakening, warmer easterly winds would boost the temperature today. Daytime temperatures in northern Taiwan and Yilan County are expected to range from 28°C to 30°C today, up about 3°C from yesterday, Tseng said. According to the CWA, temperature highs in central and southern Taiwan could stay stable. However, the weather is expected to turn cooler starting tonight as the northeasterly wind system strengthens again
Taiwan sweltered through its hottest October on record, the Central Weather Administration (CWA) said yesterday, the latest in a string of global temperature records. The main island endured its highest average temperature since 1950, CWA forecaster Liu Pei-teng said. Temperatures the world over have soared in recent years as human-induced climate change contributes to ever more erratic weather patterns. Taiwan’s average temperature was 27.381°C as of Thursday, Liu said. Liu said the average could slip 0.1°C by the end of yesterday, but it would still be higher than the previous record of 27.009°C in 2016. "The temperature only started lowering around Oct. 18 or 19
RSS